Breaking Down the Labor Market in 2022

It’s unclear how looming financial uncertainty will impression the labor market. Whereas the U.S. has recouped all jobs misplaced in the course of the pandemic, many industries are nonetheless navigating labor shortages. On the similar time, greater than 39,000 tech business staff have been laid off this yr.

At Amplitude, we’ve got unparalleled visibility into digital product utilization, and that provides us a pulse on the labor market. We analyzed how practically 40 digital HR merchandise are getting used – job search platforms, folks administration software program, payroll and advantages functions, and extra. The findings inform an attention-grabbing story about how firms and staff are navigating the present job market.

HR merchandise outgrow the remainder

Over the past 11 months, using digital HR platforms grew 91% — the very best of any business or product sort in our evaluation. And a few merchandise are rising even quicker. As an example, Gusto, a payroll, advantages, and HR platform, had even increased progress.

This speedy progress displays organizations’ dynamic folks methods. Whether or not you’re a firm trying to broaden your workforce, scale back your workforce, or retain your prime expertise, digital instruments play an enormous position in your capability to handle these challenges.

Amplitude Labs HR Data 2022

The labor market remains to be sturdy

We’ve all heard about The Nice Resignation. Greater than 47 million People give up their jobs final yr. Whereas this made worker retention an enormous problem, HR instruments benefitted from the reshuffling. After seeing restricted progress in This fall 2021, we noticed month-to-month lively customers of HR merchandise leap up 42% in January 2022.

This pattern accelerated all through the primary half of this yr. We noticed big spikes in HR product use, with April, Might, and June seeing month-to-month lively customers develop 83%, 73%, and 91%, respectively, in comparison with a baseline of August 2021. JobGet, a job looking out platform, skilled 87% progress in month-to-month lively customers since final yr.

Concern over a possible recession isn’t stopping job hoppers. It’s motivating them. Greater than 4 million People give up their job in June, and a latest report discovered that 60% of job seekers really feel extra urgency to discover a job earlier than financial situations worsen. The correct HR instruments may help candidates discover a new job shortly, and firms discover the expertise they want earlier than the labor market tightens.

Don’t lose sight of your folks

Each business is coping with completely different challenges proper now. Whether or not you’re a know-how firm trying to drive progress in a downturn, a medical follow coping with staffing shortages, or a restaurant juggling worker schedules, chances are high there’s a digital software that may show you how to and your staff be extra profitable. As a result of one factor is evident: an organization is barely nearly as good because the workforce behind it.

Keep tuned for our full 2022 Product Report launching later this yr. We’ll be sharing an up to date have a look at HR business progress, in addition to in-depth insights in regards to the traits shaping digital exercise in each business.